Readding the location where you report tax that is set to expire
If a tax type is assigned to a state or country where you report tax is about to expire, you’ll need to readd that state or country in AvaTax. During this process, you can assign the same tax type or choose a different one.
To ensure an uninterrupted tax calculation, set the new effective date of the tax type to the day after the previous tax type expires.
For more information, see Re-add a state to replace existing tax type and Re-add a country to replace existing tax type.
Enhanced the filter selection for the Payment by Jurisdiction report
For AvaTax for communication users, the Payment by Jurisdiction report under Liability Worksheet Report now includes the following enhanced filter capabilities:
- You can now select all countries using the new All option in the Country field.
- The Company field lets you select more than one company at a time, giving you more flexibility when generating reports.
Removed the get a recommendation link for sales and use tax type from the Colorado and Illinois states
The get a recommendation link for the sales and use tax type has been removed from the Colorado and Illinois state tiles.
Enhancements to VAT/GST transaction
Enhanced the business-to-business and business-to-consumer transaction scenarios for accurate tax calculations in VAT/GST transactions in Bahrain and Thailand. These transactions include the following:
- Domestic sale or purchase of goods or services
- Domestic supply or purchase of digital services
- Export of goods or services
- Import of goods or services
- Marketplace-deemed supplier
- VAT on low-value goods
- Domestic sale or purchase of event admissions
Partial VAT recoverability support for 12 new countries
Before this release, AvaTax supported partial VAT recoverability for the U.K., Northern Island, and 27 EU member states, that is Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, The Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden. For the remaining jurisdictions, other than the U.S., AvaTax returned a 100% recovery.
In this release, AvaTax also supports partial VAT recoverability for Norway, Switzerland, Mexico, Japan, Australia, New Zealand, Singapore, UAE, Saudi Arabia, Malaysia, Philippines, and Turkey.
For more information, see Partial VAT recoverability.
Support for VAT Group transactions in European Union (EU)
In this release, AvaTax provides support for VAT group calculations in the EU member states.
This enhancement is applicable to the businesses that are closely related entities, such as subsidiaries or companies under common ownership. A VAT group allows such businesses to be treated as a single taxable entity for VAT purposes, which reduces the overall VAT burden and simplifies the administration of VAT. The companies within a VAT group must be established in the same EU country.
For example, let’s assume Company A, Company B, and Company C are the part of a VAT group in an EU country. If Company A sells goods to Company B (within the same VAT group), the transaction won’t be liable to tax, subject to certain exemptions. However, if Company A sells goods to a customer outside the VAT group, VAT is charged as usual.
As a part of this update, we’ve added the new field VAT group registration number on the Countries where you report tax page. For more information on this field, see Update countries where you collect tax.
Enhancements in Customized template fields of AvaTax for Accounts Payable
In this release, we have made the following updates to the customized template fields of AvaTax for Accounts Payable:
- Added the new field Location code to the Match optional columns page.
- Updated the supporting UI text for Ship-from location code and Ship-to location code fields in the Match address columns page.
Support to export country-specific tariff code status
In this release, AvaTax enables users to download an item mapping file with country-specific classification status.
As a part of this update, we’ve added the new checkbox Include tariff code status columns in the Export items box. The downloaded CSV or XLSX file of your item mapping data will appear the country-specific classification status column for your items.
Enhancement to document types in AvaTax for Accounts Payable
Earlier, Accounts Payable transactions supported only Purchase Invoice, InventoryTransferInboundInvoice, and InventoryTransferInboundOrder document types. In this release, we have added support for Purchase Order document type for Accounts Payable transactions.
With this enhancement, AvaTax now calculates the following:
- Sales tax for a purchase order with AvaTax for Accounts Payable subscription
- Consumer use tax for a purchase order without AvaTax for Accounts Payable subscription
Vendor-charged tax distribution from largest to smallest jurisdiction for Accounts Payable transactions
In this release, AvaTax for Accounts Payable provides support to distribute vendor-charged tax from largest to smallest jurisdictions type based on the jurisdictional size and tax rates. For more information, see Vendor-charged tax distribution.